Karl Landsteiner discovered the ABO blood group system in 1900. He identified three main blood groups - A, B, and C, which were later renamed to A, B, and O. Von Decastello and Sturli discovered the AB blood group in 1902. The ABO blood group is determined by the presence or absence of antigens A and B on red blood cells, which is controlled by inherited alleles. People universally have antibodies against blood group antigens they lack. This system is important for blood transfusions, as incompatible blood can cause transfusion reactions.